True Customer Feedback For Your Startup: Why Is It Important?
For a business, customer feedback and customer survey are two of the most important factors that determine its success. As an entrepreneur, true customer feedback is the single most important necessity for your business, because any product needs to have a feedback from customers, even the potential ones.
A true customer feedback and survey are the methods that are used to find out whether an existing product has been well received by the target customer base. The purpose of such a feedback is great, as it finds out the pros and cons of an old product, as well as determines the market condition and customer acceptability to a new product which is in the conceptualization phase. Startups often ignore the necessity of feedback from customers as they generally have extreme confidence upon their “innovative” ideas. 95% of the startups fail within the first 5 years of their launch since they fail to follow customer demands and feedback, which can only be gathered via surveys.
Also Read: HOW TO RETAIN CUSTOMERS IN SMALL BUSINESSES
There are various ways that a true customer feedback survey can propel your startup towards success. These are:
It makes you understand your product
While your product is still in the ideation stage, carrying out a true customer feedback survey will give you a realistic insight into your product’s pros and cons. You need to step out, make teams to do so, and arrange for other media to carry out a survey as to how the potential customer base would accept your product. Having a feedback as to what the market actually needs will only make you understand where all you need to put your effort on.
Try and avoid mistakes that may prove costly
Faulty market surveys can effectively prove fatal for your startup. A true customer feedback report is necessary before investing in a new product. A great market survey together with valuable customer feedback tells you whether your existing product is heartily welcomed by the customers, or it requires some changes.
During the mid 1980s, Coca Cola introduced a new sweeter version of Coke, named the “New Coke”. This wasn’t well received by people, and they lost millions of dollars before reverting back to the original version. All this because of a faulty survey that showed people were more interested in the newer version. Normally, big companies can overcome losses like this, however if the same thing happens to a startup, it’s as good as dead. So a true customer feedback is necessary before any venture.
Develop great customer-centric products
For an entrepreneur, an idea may hold a special place is his/her heart. Sometimes their love for these “innovative” ideas is so much that they tend to forget about the customer base they are hoping to serve, and their actual needs. A true customer feedback survey can point out what exactly the customers want, and what are they not getting from the current market. It also tells you whether you need to apply some tweaks in order to make your product conform to their needs. This is best done during the ideation stage, since then your investment would not be a waste.
When it comes to feedback from customers, nothing can beat it if it is properly followed. Creating feedback loops through online surveys and post purchase surveys work great, as your product is reviewed and you get the actual picture as to how your product has been welcomed by the customers. Any change in responses from existing customers would signal an anomaly, which you can always rectify. A true customer feedback report can do wonders if worked on the flaws that the report tells of.
Every single firm must listen to their customers, and their needs and wants. More so if the firm concerned is a startup. That’s because startups usually have fewer resources and investors at their disposal than large business houses that can overcome a product debacle. Startups need to actively engage in generating true customer feedback before, during and after the product has been launched. No one would buy your product if they don’t need it, and that’s what a feedback tells you. A great feedback survey report should tell you that you may be in for a surge in the target base. Also, accepting feedback makes your customers believe that you truly care for their needs and actually want to hear their complaints, if any.
So, as an entrepreneur, you should be constantly in touch with your target base as well as the market, and maintain your focus on ideas that deliver some value to the customers, since when it comes down to selling your product, customers do have the final say.